Sandvik is the first among the stock exchange's industrial giants to report the results for the fourth quarter. The profit is increasing and the board of directors is proposing a higher dividend.
I think we are ending the year in a very positive way. For the year as a whole, I think we are doing a good job, resilient in this uncertain environment, says Stefan Widing.
No change
Many are wondering where the economy is headed, if there are signs of an upturn?
Generally, we do not see many signs of an improved economy. Above all, not in Europe. One can say that the fourth quarter has been in line with the third quarter. So far in the beginning of January, we do not see any change, says the Sandvik CEO.
The US market is still clearly better than the European one, but even there, a slowdown is noticeable, according to Widing, who still sees a certain improvement from a global perspective within the areas of mining and infrastructure.
Possible American tariffs against the EU. Does it affect you?
Yes, it would.
"The impact on us"
The company has made a mapping. Depending on how the tariffs are designed, it will have different effects, of course.
But if it were to become general tariffs against the EU, then it would have an impact on us.
The adjusted profit before tax landed at 5.4 billion kronor during the fourth quarter. This can be compared to 5.1 billion kronor during the same period a year earlier. The order intake increased to 31.6 billion, compared to 30.1 billion during the fourth quarter of 2023. The revenues increased to 32.2 billion, which can be compared to 31.8 billion a year earlier.
The result, revenues, and order intake were roughly in line with the stock market's expectations, according to Bloomberg's survey among analysts. The share is rising by about four percent in the initial trading on the Stockholm Stock Exchange.
In the annual report for 2024, Sandvik's board of directors is proposing a dividend of 5.75 kronor per share. This can be compared to 5.50 kronor per share last year.
